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9. For a 10-year BBB-rated corporate bond that would have a modified duration of 8.2...

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9. For a 10-year BBB-rated corporate bond that would have a modified duration of 8.2 at the end of the year. Using the corporate transition matrix below, what is the expected yield loss (or the % return below the YTM) on the bond over the next to account for a possible credit downgrade even if there is no default. (8 points) From TO |AAA[ , c, D 0.02 0.282.8085.246.732.75 1.45 10.73 0.85 1.121.431.85 4.35 7.67 12.25 | BBB Credit Spread

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